GSK will pay LTZ Therapeutics $50 million upfront for access to its myeloid cell engager (MCE) technology.
The deal follows similar moves by Eli Lilly, Sanofi, Novartis and Pfizer aimed at developing entrants in this class of cancer drugs.
GSK and LTZ, which operates from Redwood City, CA and Shenzhen, China, will collaborate on the development of up to four MCE programs for both blood cancers and solid tumors, according to a Wednesday
release
. GSK will have an exclusive option to license worldwide development and commercial rights for the investigational therapies, which have yet to reach the clinic and whose targets are not disclosed.
Like the better known T cell engagers, MCEs are bispecifics designed to direct the patient’s immune system to recognize and kill cancer cells. GSK said that myeloid cells make up a “significant majority” of tissue-resident immune cells and therefore could be particularly good at infiltrating tumors.
The partners pointed out that other approaches can have side effects that cause patients to need hospital care. They hope that MCEs could be safer and easier for patients to access.
Several other big pharmas have already shown interest in MCEs. Lilly formed an
agreement
with LTZ on its myeloid engager platform in July. And
Sanofi
,
Novartis
and
Pfizer
have all signed pacts with Dren Bio to develop cancer drugs based on similar technology. The Sanofi deal was by far the richest, at $600 million in upfront cash.
LTZ
emerged
in 2022 with a $17 million funding round. The biotech’s name stands for “lift to zenith.”
At the Jefferies Global Healthcare Conference in London on Wednesday, GSK’s chief scientific officer Tony Wood spoke about how the pharma company balances its efforts between its in-house portfolio and assets folded in from the outside.
“You always want, as the head of R&D, to have a budget in which you’re spending every penny on things that are valuable, timely and technically advanced contributions to your portfolio,” Wood said. “I’m always in a position when I bring something new in, whether it’s from the outside world or the inside world, that I’m asking it not only to pay for itself but to pay for the opportunity that it displaces in the portfolio.”
LTZ could get milestone payments based on hitting preclinical, clinical, regulatory and commercial goals. If the programs make it all the way to market, royalties on global sales are also on the table.
GSK recently
snared
an antibody-drug conjugate from Syndivia, paying about $357 million for the preclinical-stage prostate cancer therapy.
Reynald Castañeda contributed reporting.